Repair Your Credit Score
A credit score does not fix itself. Your credit score is the sum total of the history reported to the credit bureau (either Equifax Canada or Trans Union of Canada by your creditors. Your credit score is affected by many factors such as your payment history, how much credit you are using of your total limit, enquiries by old and new creditors, etc. You should obtain a copy of your credit report every few years to be certain the information on your file is accurate, current and has no errors. If you find anything wrong in your credit report, notify the reporting agency immediately to correct your report. The last thing that you need when applying for a loan or mortgage is an unexpected problem. It takes time to fix a problem, even if you are not the cause of the problem.
As previously stated, your credit report and credit score is based on your history. Even if a debt that was delinquent is subsequently paid off or made current, the history will stay in your file up to 6 years. If a delinquent account has been sent to a collection agency or has resulted in a lawsuit, the information may show up twice. Once under the name of the creditor and a second time, under the public information section at the end of the credit report.
Your credit report and credit score is very important to you. It affects not only your ability to borrow but also the interest rate that you are charged. Very few people have a perfect credit score. If they had a perfect score, they likely would not need to borrow money anyway. For the rest of us, do your best to present yourself in the best possible way.
Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.